John McTernan: Just like Robin Hood - but in reverse

David Simon, the creator of The Sopranos, said all television had one message: "Don't worry, it's OK to buy things." Looking back on more than a decade of the Scottish Parliament, a disinterested observer might conclude the overwhelming message of all the political parties was: "Don't worry, it's OK, it's all free."

Successive elections have been a Dutch auction, with all sides trying to outbid each other. They were egged on by Good Morning Scotland, which sometimes seemed to exist only as a platform for people and organisations to demand that "something must be done" by government, ideally more spending. And successive Scottish governments were aided and abetted by Brown and Blair engineering the fastest ever peace-time increase in public spending. But they were all consenting adults, so I think we can fairly blame Donald Dewar, Jim Wallace, Henry McLeish, Nicol Stephen, Jack McConnell, Alex Salmond and Nicola Sturgeon.

J'Accuse … the entire Scottish political classes. What were they thinking? That money would never, ever get tighter? You don't have to be that good at economics to work out that, at the very least, the rate of increase might plateau. And you don't have to be a fully signed up member of the Tea Party to be willing to entertain the possibility that there might just be a sensible limit to state action (and, indeed, the size of the state.)

The irony is, of course, that days of plenty are when you should arguably be tougher and tighter with expenditure. Booms come so rarely that you should address the fundamental priorities and not just the showiest or most populist. To be fair to Donald, that's why he embraced PFI - so that decades of underinvestment in schools and hospitals could be remedied in a few short years. That investment stands the test of time. But where has the rest of the money gone? On teachers' pay: the first ever buy-out of working practices that created additional Spanish practices. On subsidising Scottish Water by at least 250,000 a year. On creating new quangos such as the charity regulator Oscar, because it wouldn't be a "Scottish solution to a Scottish problem" if you asked an existing English body to extend its remit. Oh, no - not while you could spend extra money on regulation.

Here's the rub. Money became the metric. In a striking inversion of the caricature of national character as prudent, if not downright miserly, Scottish politicians adopted Vivian Nicolson's motto, "Spend, spend, spend". Giving away things for free became a fetish. Free university education. Free bridge crossings. Free prescriptions.

Free personal care. Free public transport. Almost, in the words of Patti Smith, free money.That world has come down to earth with a crash. The worldwide downturn caused by the banks (our own RBS and HBOS front and centre) has led to a budget deficit. That has to be paid back in four years - coalition policy. Or halved in four years - Labour policy. The consequence in Scotland? At least 1 billion of the Scottish Government's budget. The political response? A debate about whether prescription charges should be made entirely free, and an argument about whether or not to continue freezing council tax. Are they serious? The biggest spending reductions since the 1920s are coming and leading politicians still want to promise free stuff?

What is most striking is the absolute absence of any fundamental principles in these discussions. When there are real constraints, what should come to the fore in identifying priorities are values. Now, we do have a defence that says Scottish politics has a social democratic core and that the SNP have taken the mantle of true defenders from Scottish Labour. This, I am afraid, brings out my inner Valley Girl and I feel forced to scream "Puh-lease!"

Alex Salmond, at his best, is a thoughtful, centre-right, supply-side economist. Quite how he can bring himself to say with a straight face the nonsense he does about social democracy, I will never know. But let's be clear - what passes for social democratic discourse in Scotland is mushy, sentimental, statist claptrap.

In politics, one of the best pieces of advice is always: "Follow the money." Who are the beneficiaries of the largesse of government? Working class Scots? Er, no. They are being brutally denied the possibility of transformative social mobility. Council house sales are being ended. These were the vehicle from the renting to the property-owning classes, and one of the few ways working families could acquire the capital asserts that middle-class politicians take for granted. The most disadvantaged, then? No, they already got free prescription charges and free personal care - the Scottish Parliament has been building a generous middle-class welfare state over the past decade. This is Robin Hood in reverse. You will search far and wide for definition of social democracy as a political philosophy that takes from the poor and gives to the rich.

As Warren Buffett memorably observed: "It's only when the tide goes out that you learn who's been swimming naked." Well, someone needs to urgently hand out beach towels in Holyrood. There is a desperate need for some honesty and humility there. Maybe there need to be some principles agreed. First, those with the broadest shoulders should bear the biggest burden. That would mean a fresh look at the unsustainable burden of free personal care. And an end to free prescription charges. Second, that, where possible, users should be charged for services they benefit from.So, bring back bridge tolls - you want a shorter journey, then pay for it. And introduce tuition fees for Scottish universities. Third, the state should withdraw from areas that the market can fairly provide. That would mean privatising Network Rail, Scottish Water, the Forestry Commission and the Scottish element of the British Waterways Board. (Or mutualise them if you prefer that branding, and as long as it doesn't reduce the receipts generated.) Fourth, end the unnecessary duplication of government administration. That should mean radical simplification of local council, police, fire and health services. It also means abolishing Scottish quangos and transferring functions to UK bodies. For example, why shouldn't the Charity Commission cover Scotland? Or why not close VisitScotland and let VisitBritain promote our tourist industry?

A fundamental change in resources demands an equally fundamental change in political behaviour. The public are already more than ready for this. Can our politicians meet the expectations of the voters and the demands of the economy? If they don't, they won't be forgiven.